JPMorgan: Rising Bond Yields May Not Derail Equities Amid Earnings Growth

**Implied Volatility / Movement:** None ### Money Play * JPMorgan analysts suggest investors "should continue using the dips" to add to positions, reflecting a constructive view on equities despite rising bond yields. * Fed and rates: The path of rates dominates indexes, banks, credit, and duration assets. ### Executive Thesis JPMorgan analysts believe that while rising bond yields and inflation present risks, sustained corporate earnings growth could provide a floor for equity markets. Investors are closely monitoring central bank actions and key economic indicators for further direction. ### The Print * U.S. government debt has exceeded $40 trillion for the first time. * Debt relative to economic output is at or above 100% across G7 economies other than Germany. * US crude futures fell nearly 3%, moving back below $100 a barrel after rising more than 12% since the beginning of the week. ### Market Reaction US stock futures pointed to a higher open on Friday. Dow futures were up 0.5%, S&P 500 futures gained 0.4%, and Nasdaq 100 futures advanced. ### What It Means for Policy & Positioning Central bank decisions, particularly regarding interest rates from the Federal Reserve and European Central Bank, are the immediate focus. Investors are assessing whether anticipated rate increases will materialize and how policymakers characterize the inflation outlook, which directly impacts Fed dual-mandate considerations. ### Next Calendar Watch European Central Bank policy meeting on Thursday. ### Story Arc / How We Got Here This analysis builds upon prior coverage from September 5, 2026, detailing Adobe's acquisition of Rilo to bolster its agentic AI capabilities. While that event focused on corporate strategy and AI integration, today's discussion centers on broader macroeconomic themes, including rising bond yields, inflation, and their potential impact on equity markets, as analyzed by JPMorgan. Prior coverage can be found at /explore/adobe-acquires-rilo-to-bolster-agentic-ai-capabilities.